HomeeSports$68.7 Billion Microsoft Blizzard Deal Under Investigation

$68.7 Billion Microsoft Blizzard Deal Under Investigation

$68.7 Billion Microsoft Blizzard Deal Under Investigation

Competition regulatory bodies have placed the US$68.7 billion (AUD $100.6 billion) deal under investigation as Microsoft aims to complete the biggest gaming buyout in history by acquiring Activision Blizzard.

The UK government’s competition regulator and markets authority (CMA), federal trade commission and the Australian competition & consumer commission are jointly investigating the deal.

In an inquiry schedule statement, the CMA said the merger investigation will analyse for potential harm to competition under the provisions of the UK Enterprise Act 2002.

“Whether the creation of that situation may be expected to result in a substantial lessening of competition within any market or markets in the United Kingdom for goods or services,” the CMA said.

Microsoft will fully cooperate with the investigation’s proceedings, with Microsoft corporate vice president & general counsel, Lisa Tanzi saying the company is confident the deal will be completed during the 2023 fiscal year, which follow initial predictions.

“We expect and think it is appropriate for regulators to take a close look at this acquisition,” Tanzi said.

“We have been clear about how we plan to run our gamin business and why we believe the deal will benefit gamers, developers and the industry,” she said.

A deadline for public input on the matter is set for 20 July, with September 1 being the final date to decide if a more in-depth investigation is needed.

Additionally, Microsoft’s offer is 18 times Activision’s 2021 earnings before tax, interest, and depreciation.

The latest investigations come after the deal was announced in January 2022.

Share With:
Rate This Article
No Comments

Sorry, the comment form is closed at this time.